Of the Following Duties, the Only One That an Agent

question 19

Multiple Choice

Of the following duties, the only one that an agent does not owe the principal is

• A) loyalty.
• B) reasonable skill.
• C) accurate accounting.
• D) compensation.

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Definitions:

Contribution Margin Ratio

A financial metric that measures the proportion of revenue that exceeds variable costs, indicating how much revenue contributes to covering fixed costs and generating profit.

Sales

The total amount of revenue generated by the selling of goods or services related to a company's primary operations.

Routine Pricing

A method where prices are set based on standard costs plus a fixed profit margin, commonly used in consistent market conditions.

Variable Costs

Costs that vary directly with the level of production or sales volume.